Which of the Following Is True

question 49

Multiple Choice

Which of the following is true?

• A) Government intervention in the form of direct regulation does not involve any cost.
• B) The opportunity cost of government work is the tax imposed on the society.
• C) The allocation of time and talent of individuals to bureaucracy is an important cost of government.
• D) The larger the size of the bureaucracy, the higher its efficiency.

---

Definitions:

Minimum Required Rate of Return

The lowest acceptable return on an investment, determined by the investor's objectives, risks, and opportunities.

Division's Margin

The difference between the sales generated by a division and its direct costs, used to evaluate the profitability of the division.

Division's Turnover

The total sales or revenue generated by a specific department or division within a company during a given period.

Minimum Required Return

The minimum rate of return that an investor expects to achieve from an investment, considering its risk level.